The second most important virtual currency in the market, Ethereum (ETH) has plummeted and it is being traded under $300 dollars, levels not seen since November 2017.
Today, Ethereum was trading around $320 dollars but in just a matter of minutes, the currency dropped under $300 dollars for some time for the first time in 9 months. After it, it was traded near this price level, but it went down further and reached $291 dollars and is currently sitting at $283 and has lost $125 in just the last week.
From its all time high in 2018, when it touched $1420 dollars, the virtual currency lost more than 75% of its price.
Compared to Bitcoin, Ethereum has also reached new lows in this year. Each ETH can be bought for 0.0467492 BTC, the same price as it was back in December 2017. After this year’s high, ETH lost 43% of its value in BTC.
At the moment there are no clear reasons about what happened with Ethereum and why its price experienced such an important drop. Apparently, its decline since the beginning of the year is related to Initial Coin Offerings (ICOs) that issued tokens and that now they need to sell it. As they see that the market cannot recover, they want to store they funds in fiat or BTC rather than in ETH.
ICOs are increasing the pressure they have on the price of Ethereum, and this can be seen in how the price evolved during the last months.
One might guess that the recent launches of the TRON TRX Mainnet as well as the EOS blockchain launch had much to do with this as they were two of the biggest projects to use the ERC20 token protocol and have since dumped their entire ETH worth as their own native mainnets were launched.
The good news according to popular crypto account Whalepool, if you take a look at his recently launched twitter pool asking about Bitcoin Cash vs Ethereum you will see that the community clearly thinks Ethereum has a higher chance at peaking within the next two years.
Gun to your head, your entire net worth for next 2 years. Allin bch or allin eth
— Whalepool (@whalepool) August 13, 2018
Maybe partly due to messages like this that are holding ground despite value tanking:
Things are changing. @ConsenSys showing supporting tweeting love for @parity & vice versa. The price of $eth might be crashing but the effort, cohesion, collaboration, community & focus on #BUIDL grows stronger every day. Mark my words; #Ethereum work ethic will not falter. pic.twitter.com/KUhZxIHqYu
— John Lilic (@JohnLilic) August 13, 2018
Another crypto-twitter had this to add:
Look, shut up about the price already. I'm gonna be blunt: if price is the main metric you're paying attention to, you're here for the wrong reasons and you can go home. I've never been more bullish about the tech and social side of Ethereum. All the buidlers I know feel the same
— Lane Rettig (@lrettig) August 13, 2018
One might have to wonder if this has anything to do with the recent surge behind Ethereum Classic (ETC) and all of its Coinbase-related press?
What do you guys think of the recent Ethereum drop? Of course it reached its all time high within the first two weeks of 2018 at near $1,350 USD and has since been a decline all the way down to its $285 range. Where does ETH go from here?